Requirements of Market Segmentation In addition to having different needs, for segments to be practical they should be evaluated against the

e following criteria Identifiable the differentiating attributes of the segments must be measurable so that they can be identified Accessible the segments must be reachable through communication and distribution channels Substantial the segments should be sufficiently large to justify the resources required to target them Unique Needs to justify separate offerings, the segments must respond differently to the different marketing mixes Durable the market should be relatively stable to minimize the cost of frequent changes Bases for Segmentation in Consumer Markets Geographic Demographic Psychographic Behavioralistic Geographic Segmentation Region By Continent, country, state, neighborhood Size of Metropolitan Area Segmented according to the size of the population Population Density Often classified as urban suburban or rural, migrant can be added Climate according to the weather patterns common to certain geographic regions Demographic Segmentation Age Gender Family Size Family Lifecycle Generation Baby Boomers, Generation X, etc. Income Occupation Education Ethnicity Nationality Religion Social Class

Many of these variables have standard categories for their values. For example, family lifecycle often is expressed bachelor, married with no kids, (DINKS Double Income, No Kids), full nest, empty nest, or solitary survivor. Psychographic Segmentation Activities Interests Opinions Attitudes Values Behavouralistic Segmentation Benefits Sought Usage Rate Brand Loyalty User Status Potential, first-time, regular, etc. Readiness to buy Occasions holidays and events that stimulate purchases